You don't save anything as a buyer when going solo?
Let's assume a $500,000 house as a buyer without a realtor, you get 2.5% kickback: $487,500
So after 20% down, it becomes $400K mortgage vs $390K mortgage. (Assuming 2% rate)
$400K mortgage = $1692 per month
$390K mortgage = $1650 per month
You save $42 per month for the 25 years when you buy a home successfully without a realtor.
But is that worth the risk of:
-having not much clue on real markets
-Not knowing how much to bid
-having no clue on real estate buying process
-having no clue on what to look for, etc?
I have been looking for real estate myself but after doing this analytical exercise, I think I am better off getting a realtor since the 2.5% price increase is spread over 25 years which actually doesn't cost a whole lot...
I think as the seller, it is worth going solo because it is straight cash you are getting if you are able to list yourself and do showings yourself.